PROJECT REPORT

ON
(CONSUMER BEHAVIOUR TOWARD THE FOOTWEARS PRODUCT)
Submitted In partial fulfillment of the requirement For the award of degree of

MASTER OF BUSINESS ADMINISTRATION

Under The Supervision of: Mr. Mohd.Wasiq ( LECTURER ) Submitted by: NAME: SARFRAZ Roll no.: MBA/08/51
CLASS: MBA 4th Sem.

AL - FALAH SCHOOL OF ENGINEERING AND TECHNOLOGY (Dhauj, Faridabad, Haryana) SUBMITTED TO:

MAHARISHI DAYANAND UNIVERSITY

(ROHTAK) (May 2010)

DECLARATION

I KHUSHBOO RANI Class BBA CAM VI SEM of the AGGARWAL P.G COLLEGE BALLABGARH hereby declare that the Project Report entitled CONSUMER BEHAVIOUR CONSUMER TOWARD THE FOOTWEARS PRODUCT is an original work and the same has not been PRODUCT submitted to any other institute for the award of any degree. A seminar presentation of the Training Report was made on the suggestion as approved by the faculty were duly in corporate.

KHUSHBOO RANI

ACKNOWLEDGEMENT

The completion of any project work requires a lot of time, resource and efforts that is very difficult for a single person to provide. I am not an exception to this. The present study has been conducted active cooperation and dedication of several persons, all of which cannot be mentioned here of the sake of brevity. I would like to thank all those who helped me in collecting the material related to the study and analyzing the data. I would like to express my gratitude to MRS.SHILPA MAM HOD OF HR DEPARTMENT AGGARWAL P.G COLLEGE BALLABGARH. He took keen interest in the project work and gave his valuable suggestions and guidance.

KHUSHBOO RANI

PREFACE
No professional curriculum is considered complete without work experience. Every individual who is doing management studies has to undergo this phase of practical study before he/she can consider himself/herself fully qualified as potential manger. I got an opportunity to do training with Lakhani Ltd. I undertake the training in my 6th semester, Consumer behavior about the foot wearing the Lakhani Ltd.The basic aim of my study was to get the real experience. People affiliated with management studies have a different view on this aspect of management that classroom studies have nothing to do with practical work. But during my research I realized that a training report plays a crucial part as it prepares a student for the impending responsibility that awaits him/her in the future. It integrates the theoretical aspects with the practical life and helps in understanding business solutions in a better manner. KHUSHBOO RANI

TABLE OF CONTENTS

CONTENTS PAGE NO. List of table List of figure Chapter-1 Introduction Objectives of study Research Methodology Chapter-2 Review of Literature Chapter-3 Company Profile Chapter-4 Data Interpretation & Analysis Chapter-5 Recommendations & Conclusion Findings Bibliography Annexure

CONTENT OF TABLE

SR.NO 1 2 3 4 5 6 7 8

PARTICULAR PAGE NO. COST EFFECTIVENESS BUYING ATRIBUTES OF CONSUMER INFLUENCE BUYING MEDIA FOR LIKINGOF

CONSUMER CHANNEL PREFERED BY CONSUMER BRAND LIKING OF

CONSUMER DESIRING TO WATCH ADVERTISEMENT BREAK UP BY SEX

CONTENT OF GRAPH

SR.NO 1 2 3 4 5 6 7 8

PARTICULAR PAGE NO. COST EFFECTIVENESS BUYING ATRIBUTES OF CONSUMER INFLUENCE BUYING MEDIA FOR LIKINGOF

CONSUMER CHANNEL PREFERED BY CONSUMER BRAND LIKING OF

CONSUMER DESIRING TO WATCH ADVERTISEMENT BREAK UP BY SEX

INTRODUCTION

objective
The Objective to prepare this Project Report is to find out the width & depth of Competition of SPARX Shoes and to identify the Effective Communication & Promotional strategy.

So, to achieve this objective I prepared a Questionnaire & conducted a Survey regarding Sparx shoes. On the base of this Questionnaire I collected the data & Analysed it to make this Project Report.

To find out the Competition area of Sparx Shoes, I also consulted with the Retailers in brief about two major Competitors of Relaxo i.e. Action & Lakhani.

The findings of this Survey are attached further in this Report. I have also mentioned about both competitive brands in detail.
To study the consumers buying habits. To analyze the existing market situation for foot wear. To study consumer awareness of different companys footwear. To determine the reasons for success and failures of foot wear companies. To find out differences between footwears. To find out customer satisfaction towards footwear products. To study consumer attitude towards footwear product. To evaluate the consumer attitude towards advertising campaign for different brands. To find out customer beliefs and to evaluate the mood of customer.

Scope of Study:
This paper examines the determinants of M&A activity in the pharmaceutical industry (wart Dr. Redeyes Lab and Galaxy Smith line) It will analyze the pre-effect & posteffect of mergers & acquisitions & the synergistic effect of mergers using ratio analysis, trend analysis.

Research Methodology
Research :-

Research in common words refer to Search for Knowledge. Research comprises Defining & redefining problems, formulated hypothesis or suggested solutions; collecting, organizing and evaluating data; making deductions and reaching conclusions; and at last carefully testing the conclusions to determine whether they fit the formulating hypothesis. Research Methodology :Research Methodology may be understood as all those methods/techniques that are used for conduction of research. Therfore, Research Methodology is a way to systematically solve the research problem. Types of Research Methodology :-

Descriptive vs. Analytical :Descriptive research includes surveys & fact finding inquiries of different kinds. The major purpose of descriptive research is description of the state of affairs as it exists at present. In Analytical research the Researcher has to use facts or information already available. Applied vs. Fundamental :Applied research aims at finding a solution for an immediate problem facing a society or an industrial/business organization. Fundamental research is mainly concerned with generalization and with the formulation of a theory. Quantitative vs. Qualitative :Quantitative research is applicable to the phenomena that can be expressed in terms of quantity. Qualitative research is concerned with phenomena relating to quality or kind. Conceptual vs. Empirical :-

Conceptual research is that related to some abstract ideas or theory. It is generally used by philosophers and thinkers to develop new concepts. Empirical research is appropriate when proof is sought that certain variables affect the other variables in some way. Exploratory :Exploratory research is based on development of hypothesis rather than their testing. Questionnaire was prepared & a survey was Conducted for collection of data. So, to conduct this Survey, Descriptive type of research was used. During the Survey data was collected from two Sources :- Primary Sources & Secondary Sources. As Primary Sources, data was collected with the help of Questionnaire. Retailers were personally visited for filling this Questionnaire. As Secondary Sources, Retailers & Sales persons were contacted/discussed informally about Sparx shoes.

CHAPTER 3

COMPANY PROFILE

INTRODUCTION TO FOOTWEAR INDUSTRY

Footwear has come out as one of the basic needs and necessity of todays human beings. It is as important for human being as clothes and shelters. The importance of said product has been highly recognized in the western and other advanced countries. Footwear industry in these countries comes in category of other developed industries, for example Nike and Reebok of America, Laspaz of U.K., Gooci of Italy is some of the highly reputed companies manufacturing Hi- tech shoes and having world wide acceptability. The scenario in India is some how different and regretfully this industry could not develop itself despite the fact that India being second largest populated country in the world ,surplus manpower and resources of raw material ,whatever the reasons being.

Till the mid 20th century the bulk of shoe industries where in cottage sector, professional cobblers were responsible for traditional shoes, Indian style as well as western style. In post independence era the policies of the government were solely guided to provide protection to cobblers, which mainly came from scheduled cost through direct, or in direct regulations. Till Bos industry kept on moving at slow pace with two or three branded products available at national distribution. In the past one decade the situation has completely changed because the new generation of professionals did not adopt this line as shoemaker and preferred to join the white collar jobs. Now a majority of workers in the shoe industry at Agra. Even in Agra fewer servant of the other class people are taking over the job of shoe making. With this situation, the growth of the industry remained stagnant because of nonavailability of worker/Professional to keep the pace of the demands. With the rising of population up to 850 million people, the shortage of footwear was replaced by plastic industry and Hawaii chappels became a common wear through out the country replacing the traditional type of Indian shoes being manufactured by the rural class of shoe cobblers. In the cities and towns with higher standards of living the demand of domestic market could be hardly met. Nationally Bata remained the main source of supply to meet such demand. The present scenario of shoe industry has changed by the liberalization of economic policy. Many national and multinational brands have emerged in Indian footwear industry rate of production is not adequate to meet the requirements. Taking into the consideration The growing standard of living, the production capacity of industries has to be geared up with changing needs of consumers. A pair of shoe for each person is accepted as a minimum consumption, we could imagine the necessity of the growth of this industry. Even the combined strength of the total output of the plastic, canvas, rubber and other categories of shoes do not make up the populated requirements of this country.

The industry holds enough if expansion opportunity with the massive availability of natural resources and simultaneous consumption of the products being produced. Hence it logical to modernize the industry in comparison to the industry of Europe, America and other advanced countries. Taking Indian shoe industry in consideration all modernization has anticipated will remain in the small sector because of low availability of capital with the owners of the shoe making houses. We can look towards Italy, which is the leader of footwear trader, the bulk of production is from small-scale sector and a unit having about 20-30 workers could produce 200-500 pairs per day. The total capital in machinery and raw materials is few lakhs of rupees. Whereas in India, one person produces one pair of high quality shoe in a day in cottage/small scale industry, which is quite low in comparison to international standard. With the mechanization of shoe industry production of footwear in 1980s have come up almost in each of the state, whereas earlier it is used to be mainly at Agra. But now Karnal, Faridabad, Delhi, Jallander, Calcutta, Kanpur, Mumbai, Madras and Gurgaon and many other places have come as new production for centers for bulk of production activities. With the increase in the production capacity in 80s about 20 million pairs of shoes upper or being exported to various countries but to expand the exports, the value added production, diversification of shoe uppers exported to footwear has to be programmed. With the growth of this industry future of ancillary industry units is very bright. These ancillary industries have important role to play in the growth of show industry. Ancillary units manufacturing parts of footwear that in soles, insoles, stiffeners, puffs, buckles, synthetic uppers and the material as assumed a greater role for strengthens and getting of fast rate of production in the footwear industry. Even in Europe and in other advanced countries the shoe industry has only growth with the growth of ancillary industries. It is an ideal industry for entrepreneurs without much of the investment in the industry assuring production having a constant and growing consumer demand. Profits are assured.

Availability of raw material and manpower is not a problem so the small scale sector has to play vital role in the industry development.

LAKHANI LTD.
ELEMENTARY KNOWLEDGE ON FOOTWEAR

Footwear is a man made outer covering of foot. It is generally made up of leather but the same can also be made with synthetic material. It protects the feet from ground and other various aspects it can also be defined as,wearing apparel for the feet. Depending upon the style, type and purpose, the footwear can be broadly classified into three groups Chapels or open type footwear Sandal or strap attached footwear Boot and shoe or closed type footwear covering most part of the feet.

BACKGROUND OF THE STUDY

For every study some objective will be there. In this study the main and foremost objective is to study the current markets trends of footwears industries and towards them how the consumers are reacting to the different companies products. This study is basically to analyze the behavior of consumer and what factors and attributes affect more to consumer buying decisions. Jog a mile or walk in style shoes remain your constant companion, clinging faithfully to your feet in all climate and conditions. Footwear is as old as human civilization, and it has come down to use through the ages, with mind-boggling changes in design and technology.

Shoes are no longer protective covering for the feet, which is said to have been produced simple by human being stepping in to pool of molten rubber now a days, shoe had become integral part of wardrobe and indispensable fashion accessory; complementing your out fit or receiving compliments on your behalf. Summer or winter, autumn or spring, shoe transport you safely to your destination, braving rain and rough weather, heel or high water. Today one-find shoes to match every mood, attires, occasion, and activity. There are shoes to ride in and shoes to glide in, shoes to dance in and shoes to prance in, shoes to catwalk, and shoes for rat race. There are elegant, brass buckled shoes for the party and for the office. Come New Year and the capitals shops backend alluringly to eager shopper looking for fresh stocks. The spate of wedding and festival around this time also prompts the fashion conscious consumers to put shoes at the top of shopping list. Luckily there is no death of number of styles to satisfy buyers slightest whim .The world is at your feet, provided you can foot the bill. Today a buyer with money to spend has tough time deciding which pair to select from the array of shapes, colors style and design. Selecting, childrens footwear in no longer test of patience for the hurried parents .The latest batch flooding the market beguiles the eye with multi colored motifs and comic characters. Their foam uppers and poly urethane soles make them light as air and easily washable what is the cause of for this change. Some believe it as western influence or

Indian culture, other are convinced it is the economic liberalization. Perhaps it is the collective effect of all these features.

PRODUCT STANDARD
In footwear product the consumers mainly search following these qualities. (a) Quality: A rational consumer always looks about the product quality which they are buying .It is worth of their price or not. (b) Price: Price is also a main important and foremost thing. Most of the consumer are comparing the price of others footwears products. (c) Packing: Packing plays a very important role to attract the consumers .Now most of the company are giving more emphasis on the packing of the products.

WARRANTY SCHEMES These are the schemes, which are helpful in increasing the sales. Some consumers are not satisfied with company warranty policy and some are fully satisfied.

INFORMATION RESEARCH In the mind of consumer before buying before buying any footwear product. They are collecting information about the company, product price, and range, size, discount and the quality of product.

BUYING BEHAVIOUR Most the respondents were highly involved as well as perceive significant difference between brands. (Complex buying behavior) Some consumers are variety seekers. Some consumers are buying shoes as habitually as any other thing. Some consumer felt few differences between brand and still got highly involved (Dissonance, reducing behavior.)

MARKETING BEHAVIOUR According to Kotler marketing is the human activity directed at satisfying needs wants through the exchange process. The marketing is the process through which producers and customers of various goods are brought together in an exchange relationships and the transfer of ownership take place. Marketing process starts even before the goods go into production. It does not end with the sale but continues till the satisfaction of consumer is obtained.

SALES PROCEDURE To carry out selling functions, it is important to have a qualified and experienced sale forces with a leader who can plan organize, direct and control the selling job objectively. The salesman is an extremely important link with consumer and the chain of distribution. It is some times said that salesmanship is the other name of persuasion. Salesmanship guide Certain motto and guidelines for salesmen are being as how to satisfy the customers. Guidelines for salesmen. It is said self yourself before you sell the product so the above saying has meaning to create your confidence in the mind of consumer to ensure sales. Your sincerity and capability in conversing is your performance for success. Over conversing never pays simple facts convince better. Remember consumer is more intelligent than you. Do not indulge in giving guarantees of wear and tear. You should predetermine in your mind item and size to be should to the consumer as per stock. Your expertise is your success. Do not display your all varieties as per stock to the consumer. Generally consumers have open mind. So you can diversify their mind to your advantage. Value addition sales can be achieved by offering additional category I.e. accessories, homewards and morning walk shoes.

VISION

MISSION
To recognize the customer's right to Quality, Services, Timely Delivery and Cost.

To ensure maximum satisfaction to the clients. To continue to maintain ethical practices, legal, social, personal conscience framework. To encourage individual growth to fullest potential. To maintain high degree of efficiency and attain international standards. Quality through people and technology

RELAXO LTD.
Relaxo is one of India's most quality conscious and progressive footwear companies.

Headquartered in Delhi, India, it maintains a fine combination of comfort, style and workmanship and is embarking upon appreciable growth plans for the future.

Over 30 years of experience:

Relaxo stepped into the footwear industry in 1976. It started off with the manufacture of Hawaii slippers and subsequently diversified into manufacturing casuals, joggers, school and leather shoes.

Record-breaking growth rate:

Relaxo has experienced a record-breaking growth rate of 4800% within the last 10 years! From a modest sale of around Rs. 1 million in the year 77-78, it has today crossed the Rs. 2000 million+ figure.

Second largest footwear company in India:

Relaxo has the capacity to manufacture over 100 million pairs, per annum. It is second only to Bata - a name of international repute in the footwear market. In India, Relaxo has a customer base of around 100 million people.

Largest manufacturer of Hawaii slippers:

Relaxo's capacity to manufacture 300,000 pairs of Hawaii slippers per day is the highest in the footwear industry.

Expert Management Team:

The company is empowered by a team of experienced, mature, dynamic and result oriented professionals with an experience in varied fields of marketing, finance, production, HRD and administration. It is headed by 6 Directors, a President (operations), 5 GMs and over 30 managers.

Trained workforce:
Relaxo employs over 2500 personnel who are well trained in their respective production activities including 400 officials spread over all 9 manufacturing units and the corporate office. Employees are induced to in house training programs and outside workshops sponsored by leading institutions to broaden their existing working knowledge and experience. Relaxo Footwear, is a premier Indian brand manufacturing Slippers, Joggers, Casuals and School shoes. It has an extensive range within each category, and can be visited by choosing the Product Finder. Relaxo Exports is a division set up under Relaxo Footwear Ltd. The division headed by Mr. Nikhil Dua, Director and Mr. Ritesh Dua (Executive Director), has been exporting footwear to the United States and Europe. It has also been a partner to Nike in the production of Joggers, as well as a number of other international names. The Relaxo brand itself has built a domestic reputation of product quality and operational reliability, which it offers its International partners as the Relaxo Advantage.

Now Sparx is the Latest & Widest range introduced by Relaxo. It includes 3 categories i.e. Male, Female, Kids.

CHAPTER 2 REVIEW OF LITERATURE

CONSUMER BEHAVIOUR

Consumer behavior is the process whereby individuals decide whether, what, when, where, how & from whom to purchase goods and services. It is a kind of behavior which consumer shows towards any type of product or service. It plays important role in market. It is said that consumer are the king of the market and the behavior of consumer are affected by number of factors.

ANALYZING CONSUMER MARKET AND BUYER BEHAVIOR Buying Behaviour: Complex Buying Behaviour: Complex buying behaviour involves a three-step process. First the buyer develops beliefs about the product. Second he or she develops attitudes about the product. Third he or she makes a thoughtful choice. Consumers engage in complex buying behaviour when they are highly involved in a purchase and aware of significant differences among brands. This is usually the

case when the product is expensive, bought infrequently, risky and highly self -expressive. Dissonance Reducing Buyer Behaviour: Sometimes the consumer is highly involved in a purchase but sees little difference in brands. The high involvement is based on the fact that the purchase is expensive, infrequent and risky. In this case the buyer will shop around to learn what is available but will buy fairly quickly, perhaps responding primarily to a good price or to a purchase convenience.

Habitual Buying Behaviour: many products are bought under conditions of low involvement and the absence of significant brand differences. There is good evidence that consumers have low involvement with most low cost, frequently purchased product. Variety Seeking Buying Behaviour: Some buying situations are characterized by low involvement but significant brand differences. Here consumers often do a lot of brand switching. The market leader and the minor brands in this product category have different marketing strategies.

MARKETING MIX STRATEGY FOR ATTRACTING CONSUMER

Marketing mix is the one of the major concepts in modern marketing. It can be defined as Marketing mix is the particular blend of controllable marketing variables that the firm uses to achieve its objective in the target market.

Now the question arises, what variables make up consumer to buy product through marketing mix? There is actually a great number of marketing mix variables. Fortunately they can be classified into

few major groups. One of the most popular classifications has been proposed by Mr. Carthy and is called the four Ps : Product, Price, Place and Promotion. The consumers decision on the product quality feature, price, advertising budget, marketing channels and other marketing variable for this target market make up its markets mix .the marketing mix is the means by which the consumers gains and supports the competitive position it seeks to occupy in the target market.

PRODUCT This P of the marketing mix includes various variables related with product like quality of product, features, brand name, style, packaging, etc. Regarding the quality of the product of any companies, it can be said that the products are of very high quality as these are manufacturing on the imported machines of latest technology by using the imported raw material of high quality. The main features of the product are that they are perfectly designed in the shape as specified by the consumers and they are highly durable. The products of the companies are marketed under the name and style of their brand name and enjoy an excellent reputation for quality in the market.

PRICING POLICY Price denotes the value of a product or service express in the terms of money. It is a powerful instrument to both, e.g. the buyer and seller, in the market place. In money, economy without price there cannot be marketing. It is the only element in the marketing mix that creates sales revenue. The other element are cost etc. since price is the source of income for the seller the higher the price the seller can get for his products the greater are his profits. On the other hand, when the price of the product is high, few consumers or users will have enough money to buy and the market may greatly be reduced. Therefore, pricing is a dangerous and explosive marketers

force. It must be used with great care. Prices of the products are being set in the company by considering the following parameters: 1. Raw material input: The cost of raw material consumed per unit is approximately calculated. 2. Commission cost: The total cost measured for the commission of raw material into finished product is calculated and then profits are calculated including the rejection. 3. Competitors policy: The main factors to be considered while setting the prices of the product of the companies competitors policy in setting up their products prices and also other quality of competitors product is compared with the quality of the companies products. SALES PROMOTION To attract the consumers, sales promotion activities are considered essential; promotion by definition is persuasive communication. The message is arranged to facilitate the consumer decision-making. Promotion message is one of the sources of information at disposal of buyers. Firm may have the product package, it may have a fair price, but the people will not buy the product if they have never heard of it. Sales do not take place automatically without marketing communication. Sales promotion is the process of marketing communication involving information persuasive communication. The message is arranged to facilitate the customer decision-making. Promotion message is one of the sources of information at disposal of buyers. Firm may have the best product package, it may have a fair price, but the people will not buy the product if they have never heard of it. Sales do not take place automatically without marketing communication. Sales promotion is the process of marketing communication involving information persuasion and influence important sales promotional activities are: Advertising Print and broadcast ads Motion pictures Posters and leaflets Display signs

 Audio video material

PLACE This is the fourth and last P of the marketing mix .it includes various channel of distribution, marketing coverage, their locations, media of transports etc. to cover more target consumer the network of sales is being widened by showroom and appointment of more distributors for various footwear products.

MARKET REQUIREMENT TO TARGET CONSUMER Market requirement can also be replaced with Market Demand. It helps in evaluating marketing opportunities. So; we can define Market Demand as under: Market Demand for a product is the total volume that would be brought is a defined consumer group in a defined geographical area in a defined time period in a defined marketing environment under a defined marketing programmed. (A) Internal consumption of footwear in India. During the year 1999 total internal consumption was 47 crore pairs. It has increased during 2001 -02 to 53.2 crore pairs and during 2002-03, it is estimated 55.5 crore pairs & it has increased during 2008-09 around 80 crore pairs. (B) Comparative study of Indian Footwear Market: For the last few years, in shoe industry there was an election campaign by many brands to win or attract consumers. And in this election the Bata wins the position in the middle-income group of consumers. But, taking into account the liberty, which is second in the market, has declined in the past one decade .the consumers do more prefer quality, durable and economical footwear. Reebok, Nike and Adidas have its hold in the market particularly in case of sports footwear. They have premium range of shoes, which only high-income group consumers prefer. They have good quality footwear and prices are also worth for it.

Others side, premium range and quality leather footwears typically known as loafer shoe i.e. with brand name Woodland and Metro I in the fashions and attracted the young slot customers with their newly designed and good quality leather shoe and that is why they have a good position in the market in premium range footwears. As per the survey conducted by Business World magazine and report carried by Business World in the issue dt.8th-21st January, 1997, 7 companies from the footwear sector were plotted among the 324 Indias most respected companies.3 companies out of 7 are multinationals and only 4 companies namely Bata, Liberty, Lakhani, &Mascots are listed on these stock exchanges in India.

BEHAVIOR OF CONSUMER DEPENDS ON THE FOLLOWING FACTORS.

(1) CLIMATE: Climate affects the demand of hoe largely. During the Winter Season i.e. the month of November and December the demand of hoe I usually high rather than remaining period of year. The demand of Slipper increase during summer season as compared to the winter season. It remains nearly 30-35%only during the rainy season. But the demand of the leather shoes is badly affected by rainy season. Their demand nearly 5%to 10%during the rainy season as compared to the sale of the peak period or the sale of the boom position. This shows that how climate effect the behavior of consumers.

(2) GEOGRAPHICAL LOCATION: Geographical location of the region also affects the requirement of the shoes. Consumer will buy according to their region requirement only .In case of hilly areas the demand of small sizes is usually high but in the case of plain areas the demand of the standard size is high. The requirement of the coastal areas. In case of the hilly areas the demand of the leather shoes is less

and the demand of the synthetic and sports are usually high. So the geographical locations affect behaviors of consumer according to their requirement. (3) DEMOGRAPHIC FACTORS: It usually consists of age, sex, family, life cycle, social class etc. the requirement of shoes according to age also differ. The consumer demand for smaller age is usually very low .the demand of shoes is usually high of the school and college going students. The persons above than fifty are not demanding shoes. They only wants comfortable sleepers that give them relax. The lady section is also differing from the mens shoes. They mostly want fashionable shoe or sandals which are fancier in design. Family life cycle also affects the consumer decision of purchasing. If the number of the children is more in a family then their demand for children shoes is high.

(4) ECONOMIC CONDITION OF CONSUMER Economical condition of the consumer is also affect the requirement of shoes. In Gurgaon the economic condition is usually good because of the IT industry, tourist place, industrial development, shopping malls, real estate, and good business opportunities. So the demand of shoes is usually high in this area. Nearly 80% population of this area wears shoes but they differ in quality due to personal economic condition. (5) OUTSIDE BUYERS The place where usually the outside buyers visits, there the demand of shoes is usually higher than the demand in the near by region. Gurgaon is also a picnic spot so here visitors are coming frequently here so they also affect they local customer behavior. The demand of shoes usually high because the visitors usually go for the shopping on these spots.

(6) STRENGTH OF SCHOOL GOING CHILDREN In a family school going and office going person also affect the decision of consumer .in the schools it is compulsory to wear shoes and in office it is a culture. So the requirement of the shoes is depend on the strength of the school going children.

BEHAVIOUR OF CONSUMER ACCORDING TO MARKET TREND Market trend means general tendency of the population toward shoes. Their shape, design etc. The market trend is composed following factors: (1) EFFECT OF WESTERN CULTURE The western or we can say that European culture is going on spread in India largely. People usually like that culture and designs of that areas .so the effect on shoes is also found. These designs are firstly adopted by the high quality shoes and then by the local shoes. The people who are not able to buy the high quality shoes they wait for sometimes and then they go for the buy of local shoes in the western design. (2) EFFECT OF ECONOMICAL STATUS Economical status of the customer also effects the consumer decision. If the consumer is economically sound he can go for the good quality shoes and usually after some time i.e. go for 3 to 5 times in a year .if the consumer is not so good in economically then the consumer go for local shoes and usually once or twice in a year. (3) PERCENTAGE EXPENDITURE TREND

If the percentage expenditure on the income of the consumer is high then he can save less and can make more expenses on the shoes and on the other hand if the percentage of the expenditure on the income is less then he can save more and can made less expenses on the shoes. (4) STUDY OF NEW DESIGNS Now a days different varieties and design of shoes are coming in the market. Initially when the new design comes in the market, its initial demand is not high. Some part of the shoe consumer population nearly two to three percent go for the purchase of these designs they are called as early adopters and after adoption by the early adopters comes the easily majority than late majority and in the last comes the laggard which adopts the designs when these are adopted by the population.

CONSUMER FEEDBACK
It involves listening to customers needs, it includes continuously monitoring market trends to spot new needs .it also involves running focus groups to test color and style preferences and confirms the preferences by carrying out surveys in shopping malls .it also includes listening to the complaints to learn how to improve and service quality. As the companies its strategy, it needs track the results and monitor the environment. Some environments are fairly stable from year to year. Other environments evolve slowly in a fairly predictable way. Still other environments change rapidly is unpredictable. Consumers always for their benefit so companies should adopt such policy, which are helpful to consumers. The consumer can count on one thing: that the environment and fashion can change any time when it does companies should need the study of the consumer preferences wants and their capability in changing environment.

A companys strategic fit with the environment will inevitably erode because the market environment almost always changes faster than the companys7-Ss i.e. shared values, Skills, Staff, System, Strategy, Structure and Style. Peter Drucker pointed out that it is more important to do right things (being effective) than to do the right things (being efficient).

SIGNIFICANCE OF THE RESEARCH;In the field of marketing research plays an important role & help to solve the many problems & also enhance the knowledge as, through a project report we can gain a practical knowledge of the consumer behavior i.e. they are liking the product or not. A research report provides an important knowledge about the consumer mindset. Through a project report we can evaluate the best brands preferred by the customers. And we can also evaluate the reputation of the company & its brands in the mind of customer. Through research we can find out the affecting factors of the consumer behavior. This research report provides the foundation to the marketing professionals. A research report is also helpful in studying consumer behavior, attitudes, beliefs, liking or disliking consumer perception for marketing professionals. The scope of my study will helps in the analysis of the consumer behavior towards the footwears products.

REVIEW OF THE EXISTING LITERATURE

The term customer behaviors can be defined as The behavior that consumers display in searching for purchasing, using and evaluating products, services and ideas which they expect will satisfy their need. The study of consumer behavior is the study of how individuals make decision to spend their available resources (time, money, and efforts) on consumption related items. Today, Footwear must be needed for an individual in the areas of sports, offices, students, & in the normal life. The present study provides me opportunity to have deep insight in to footwear product. Though this study does not make reader an expert. I have tried to find out, what are various measures which the Footwear industry has adopted to popularize their products and how effective their promotional tools are and what role does consumers behavior play in preparing specific brand. The product survival is depend on the following tools: Quality of the product Price of the product Advertisement of the product Buying behavior of the consumer

FOCUS OF THE STUDY;.

OBJECTIVE OF THE STUDY

In this part we study several consumer behaviors and various companies policy regarding how to satisfy the consumer. Behavior of a consumer is a complex phenomenon .It can change at any time and keeps on changing. So, we have to study the behavior of a consumer how it changing and what factor will affect it The objective of the study is to know about the CONSUMER BEHAVIOUR TOWARDS THE FOOTWEAR PRODUCTS . To study the factors affecting purchase decision. To find out the most preferred brand by customers in the market. To find out the changing mindset of different type of consumers.

RESEARCH METHODOLOGY;-

For the research study to be accepted in its and spirit, the procedures for conducting it should be vividly expressed. The whole plan should be defined effectively so that the researcher can have reasons in favor of some factors and so against some other. As there is a plethora of statistical techniques for different research study, so it is highly essential that the procedures and techniques to be applied should be explained carefully, as under:

It has been divided into four parts: -

RESEARCH DESIGN

a) b) c)
A)

SAMPLE DESIGN DATA COLLECTION METHOD DATA ANALYSIS PROCEDURE

RESEARCH DESIGN
A research design is the specification of method and procedure for

acquiring the information needed. It is the framework, which determines the course of action towards the collection and analysis of required data. This framework is to ensure that the relevant data are collected and it also implies that it is collected accurately in an economical manner. Research design has broadly been classified into three categories:

1) 2)

Exploratory The exploratory design research attempts to bring out new Descriptive- The study is typically concerned with determining the

relationship.

frequency of a particular phenomenon.

Casual research design Casual research design is adopted in order to discover

and determine the cause and effect relationship.

Area Of Study: It includes the type of research that is carried out. The research carried by me is the Analytical research as I have made the use of facts & information already available & analyzed these to make a critical evaluation of the material.

MEANING OF RESEARCH DESIGN:

The formidable problem that follows the task of defining the research problem is the preparation of the design of the research project, popularly known as RESEARCH DESIGN. Decision regarding what, where, when, how much, by what means concerning and enquiry or a research study constitute. A research is the arrangement of conditions for collection and analysis of the data in a manner that aims to combine relevance to the research purpose with economy in procedure. In fact, the research design is the conceptual structure with in which research is conducted; it constitutes the blue print for the collection, measurement and analysis of the data. As such the design includes an outline of what the researcher will do from writing the hypothesis and its operational implication to the final analysis of the data. More explicitly, the design decision happens to be in respect of:

i) ii) iii) iv) v) vi) vii) viii) ix)

What is the study about? Why is the study being made? Where will the study be carried out? What type of data is required? Where can the required data be found? What periods of time will the study include? What will be the sample design? What techniques of data collection will be used? How will the data be analyzed?

In what style will the report be prepared? Since the present study is not building on any previous study its nature has to be essentially exploratory. To the extent that the research had to begin with certain factors which were likely to be influential to determining consumer attitude towards cars, the study was in some measure also casual, at least initially.

SAMPLE DESIGN:
An ideally selected sample represents the whole universe. The bigger the size of a sample, the more representative it is likely to be. But, both time and money are the major constraints. Thus, a sample should never be too big as to be un-manageable nor too small as to loose Its representation. In sample design, following three aspects are highlighted: Determination of sample unit Determination of sample technique Determination of sample size

SAMPLE UNIT:
The universe of the study is all the individuals using Gurgaon city and the sample size of 100 is to be taken using random sampling technique.

SAMPLE SIZE:
This refers to the number of items to be selected from the universe to constitute a sample. Due to limitation of time and money, it is not possible to contact to each and every individual in the city. Keeping in mind these constraints, a total sample size of 100 respondents is considered appropriate to keep the sample accurate as well as manageable SAMPLE SIZE = 100

SAMPLING TECHNIQUES:
There are two main categories of sampling techniques namely 1. Probability Sampling & 2. Non Probability Sampling. In probability sampling, each element of the population has known non-zero chances of being selected in the sample while non-probability sampling involves personal judgment. For the present study, the techniques of convenience sampling (i.e. non-probability sampling is used. A due consideration should be given to the data collection so that the conclusion comes out to be accurate.

DATA COLLECTION METHOD:

Usually, three basic methods are used to collect primary data-

1) 2) 3)

Interview Observation Questionnaire

Structured interview involves the usage of questionnaire to collect the desired data from those who have the same information. Unstructured interviewing on the other hand involves research/depth interviewing. In observation, no questionnaire is used, but the situation of interest is watched carefully to record the relevant information.

Keeping in view the nature of this study, questionnaire method was found to be most effective. The questionnaire is structured i.e. it is presented having from question in sequence, and non-disguised i.e. objective of the study is clear to the respondents.

DATA ANALYSIS:
The data was collected, tabulated, and interpreted and analyzed with a view to get some useful information In order to make the study more comprehensive responses have been presented with the help of various tables. Some diagrams have also been aided in order to make the study clear and easily understandable.

THE TOOL FOR DATA COLLECTION

Data collection is a basic step and of vital importance. On which success or failure of the study depends. All researchers can tap into two sources of data. 1. 2. PRIMARY DATA SECONDARY DATA

In this present study we have used both primary and secondary data source. PRIMARY DATA -primary data is gathered through a survey with the help of questionnaire. SECONDARY DATA- secondary data sources includes

Books Journals various websites

RESEARCH PROCESS
There are Six steps of Designing a Research Report.

1 Specifying the Research objective

As my research project is about the comprehensive study of retail loan & role of Bank of Punjab Ltd. providing them so first of all the various objectives of the project were specified.

2. Preference the list of needed information

The second step in designing the project work is the preparation of list of need information. There is basic information on which the research project is to structure. In this project the various are handed in starting of the project.

3. Designing the data collection process

During the data collection process a questionnaire was made for the collection of the data from the consumers personally. Because in the research project both primary as well as secondary data is required. So primary data was collected with the help of the questionnaire.

The following type of question was asked from the consumers.

A. question with two possible answers says yes or no. Multiples choice A question with three or more answer

4. Selection the sample size Taking the sample of the study was not easy task. The objective and the lamination of the study have to be kept in mind before decided about the sample type. In the sample type all level of its consumers has been covered. Basically the present customers as well as prospective customers were questioned with help of the questionnaires.

5. Organizing and Carrying out the field work. After decided upon the sample size & preparing the questionnaire, the fieldwork has to be carried out. In the field work the place had to be chosen where you want to do your study. This project survey work was carried out in the Gurgaon city.

6. Analyzing the collected data & reporting the finding After the survey work was over & data had been collected the analyzing of the data must & its graphically representation was needed. So after the data collection process step by step analysis of data was done. On the basis of the analysis. TARGET CONSUMERS Target consumers for the present study are Gurgaon city.

SAMPLING UNIT This answered the question of who has to sample in the target consumer. CONSUMER DEALERS

PROCEDURE
The samples are taken by the method of judgment sampling in order to study the shoe market because of the fact that the footwear market is not is not well planned one.

RESEARCH INSTRUMENT

Mainly the data was collected by the door-to-door survey of the footwear showrooms and asking from the consumers and dealers the set questionnaires and also some questions besides it in order to study the market. The questionnaires followed are given in last in annexure. The data was also collected by some magazines, periodicals, and published materials and through Internet. INSTRUMENTATION TECHNIQUE A list of questions pertaining to the survey was prepared under this study. The questionnaires were distributed to the retailers at the outlets and informations were collected from customers through personal interviews. The data collected through questionnaires are coded and tabulated. Various diagrammatic presentations like chart, graphs & tables were used to represent the information obtained, to the reader in an understandable manner. ACTUAL COLLECTION OF DATA In this research data was collected by survey based on Questionnaires Schedule & Personal Interview. The questionnaire was based on specific components of brand awareness, brand loyalty and finally the different attributes of the product. The other methods used to collect information were Magazines, Management Journals, and Annual Reports & Internet. Utmost care must be exercised in collecting data because they form the foundation of the analysis.

TOOLS USED FOR TESTING HYPOTHESIS

By hypothesis, we mean a statement about the population parameters. Hypothesis testing deals with a procedure, which accepts or rejects the hypothesis. There are two types of hypothesis. 1. Null Hypothesis: - It states that there is no significant difference between the sample value and population value. 2. Alternate Hypothesis: - In case the null hypothesis is rejected, we should have an alternate hypothesis to accept. Alternate hypothesis is denoted by HA.

PRESENTATION & ANALYSIS OF DATA & INTERPRETATION Data analysis and interpretation was done by the method of comparison of the data collected of different consumers and dealers. As my area of study was Gurgaon city the data was collected by the direct interfere with consumers and dealers. The following facts, which I concluded by the data analysis, are explained as below. We take the various income segments as what is the division of total preferences in various income segments.

CHAPTER 4

INTERPRETATION THROUGH THE TABLES & GRAPHS;Q1. WHAT IS THE RATIO OF COST EFECTIVENESS IN LAKHANI AND REL.AXO? Table 1.1
S.NO. 1 2 COMPANIES LAKHANI RELAXO

COST EFECTIVENESS(%)
64 36 FIG.1.1

Interpretation
About the cost of footwear most of respondent says it should be cost effective i.e.64% in lakhani and 36% in the relaxo says its no. Source: 100 respondents for footwear only for the one company.

Q1. WHAT ARE HE FACTORS THAT AFFECT THE BUYING ATTITUDE O THE CONSUMERS? TABLE -2.2 (Buying attitudes) Sr, No. 1 2 3 4 5 Buying attitudes Discount Quality Price range Fashionable Comfort No of respondents for For relaxo lakhani 37 45 16 13 28 23 13 13 6 6

FIG.2.2 (Buying attitudes)

INFERENCE: About the buying attitude of customers regarding product attribute such as Discount preferred by 37 %,Quality 16 %,Price 28 %,Fashion 13 %, and Comfort 6 % in lakhani and Discount preferred by 45 %,Quality 13 %,Price 23 %,Fashion 13 %, and Comfort 6 % in relaxo. This shows the consumer preferences. Q3. WHAT ARE THE FACTORS THAT INFLUENCE THE BUYING IF THE CONSUMERS? TABLE -3.3 (Influence for buying) Sr.No Influence 1 2 3 buying Personal Advertisement Friends for No. Of Respondents No. Of Respondents for relaxo for lakhani 47 28 18 35 30 10

4 5

Shopkeeper Parents

5 2

15 13 FIG.3.3 (Influence for buying)

INFERENCE: This tables shows consumer influence on buying personal preference 47 %, Advertisements 28%, friends 18 %, shopkeeper 5%, and 2 % are influenced by their parents in lakhani ltd. And influence on buying personal preference 35 %, Advertisements 30%, friends 10 %, shopkeeper 15%, and 13 % are influenced by their parents in relaxo. Q4.WHAT ARE THE NO. OF RESPONDENTS FOR BOTH CIMPANIES IN THE MEDIA LINKG? TABLE -4.4(Media Liking)

Sr.No 1 2 3 4

Media Liking Television Magazine Hoarding Newspaper

No. of Respondents for lakhani 80 6 4 10

No. of Respondents for relaxo 70 8 10 12

FIG. 4.4 Media Liking

INFERENCE: This table shows popularity of media in respondents according to their choices. According to this graph TV is most popular media among respondents in lakhani ltd.are TV 80 % Magazine 6%, Hoarding 4% and news paper 10 % respondents and in relaxo are TV 70 % Magazine 8%, Hoarding 10% and news paper 12%.

Q5. WHICH ARE THE CHANNELS MOST USED BY THE LAKHANI AND RELXO SEPRATELY? TABLE-5.5 (Preferred channel) Sr.No 1 2 3 4 5 Preferred channel ESPN Zee Star plus Sony others No. of Respondents for No. lakhani 24 21 24 22 09 relaxo 30 23 24 20 3 of Respondents for

FIG.5.5

INFERENCE This table shows popularity of different channels among respondents. According to this graph 24% respondents has preferred ESPN, 21%Zee, 24 % Star plus, 22% Sony and 9 % others by the lakhani ltd. And graph 30% respondents has preferred ESPN, 23%Zee, 24 % Star plus, 20% Sony and 3 % others by the relaxo.

Q6.WHAT ARE THE PERCENTAGE OF THE Brands of Sport Shoes Available with the Retailers IN BOTH COMPANIES? TABLE 6.6 (Available with the Retailers) S.NO. 1 2 COMPANIES LAKHANI RELAXO BRANDS WITH RETAILER 45 55

FIG. 6.6 (Available with the Retailers)

INFERENCE This fig. shows that that availability of the brabnds with the retailers in the lakhani and relaxo with the percentage 45 and 55 respectively.

Q7. WHAT ARE THE FACTORS THAT CREATE PROBLEMS TO RETAILOERS WITH DITRIBUTERS? TABLE 7.7(PROBLEM FACED BY RETAILERS) S.NO. 1 2 3 4 FACTORS Shortage of Stock Delivery of Orders on Time Claim Settlement different discount rates FIG.7.7 LAKHANI 42 33 12 13 RELAXO 40 30 20 10

INFERENCE In this fig. the percentage of the factors shows which create the so many problems to the retailers.in diffrevt field Shortage of Stock, Delivery of Orders on Time, Claim Settlement are some of the Problems of the Retailers.

Major Problem for the Retailers is that Different Distributors provide different discount rates, which affects the product rate as well as Margin.

Q8. WHAT IS THE PERCENTAGE OF THE MARGIN SATISFACTION OF THE CONSUMERS IN THE BOTH ORGANISATION? TABLE 8.8(Margin Satisfaction) S.NO. 1 2 COMPANIES LAKHANI BATA FIG.8.8 Margin Satisfaction 62 38

INFERENCE Most of the Retailers are not Satisfied with the Margin of RELAXO Shoes.

Sparx has only 38% Margin whereas Lakhani has 62% Margin. So, there is a need to Increase the Margin or Discount rate.

CONCLUSION & RECOMMENDATIONS

LIMITATIONS OF THE STUDY

Although every care has been taken & many magazines and books are consulted so that the results are authentic and correct, yet there may be discrepancies. FROM MY PART:A. Shortage of time available for the survey. B. Limited area for research. C. Non availability of the confident data. D. Cost factor. FROM RESPONDENTS PART:A. The respondents were busy in their work, they were in hurry so the information given by them, were not fully correct. B. The information provided by them may be partial because many respondents were not interested in filling the questionnaire. The project was successfully completed with certain inherent limitations. These limitations were: The time of research was short due to which many facts have been left untouched. The Area undertaken in research is Urban area only. But to do a complete research a wide area is required, so the area is also a constraint of the study. Sample for the study taken is of only 100 consumers & 10 distributors. This can also act as a constraint in the study. While collecting data some of the consumers are not willing to fill the questionnaire, so they might not fill their true behavior. This can also be a constraint of the study. Different type of information collected from different people.

Every person has different habits, nature so this also created many problems on the time survey. As I used the questionnaire method for doing my market studies, so it is not necessary that every respondent will give true information. Sometimes the respondents are not available so they are to be changed by any other respondent. This also created problem. Some respondents ignore to co-operate. They are not ready to give any kind of information. If the respondents are ready to fill the questionnaire it is not sure that he is giving us bias or unbiased information.

CONCLUSION FROM THE STUDY;-

In the highly competitive world to attract the consumers is no more cakewalk. The scope of study of this project is to study the domestic footwear market and to study the behaviors of consumer and their attitude towards it. So as to know its strengths and Weakness in Indian environment. The scope also includes studying the market potential and demand of footwear companies. It has better scope for the future study .it is a continuous process rather than a time bound Process from time to time the companies should have to go for extensive study at the Market as well as to encourage the further study in this direction. Following are the main Conclusion from this analysis: 1. Data indicated that Bata has gained more popularity comparatively his competition in very short period. 2. Nike and Reebok in young are most popular brands. 3. During purchasing personal liking is most influencing factor in people.

4. Demand of Woodland is very low among men footwear. 5. TV is most popular media among students. 6. Demand of sport footwear is very low among female footwear. 7. Most of respondents influence by discounts offer and some because of range of product. 8. Maximum respondents have preferred to watch advertisement in between the programmed.

FINDING OF STUDY Bata is one of the footwear giants of Gurgaon. It is a company which is manufacturing shoes for the whole family and for different groups of people. Bata has got the largest range and variety of shoes which is, according to survey, the main reason of the success of Bata in the market. No such competitive company is giving such a good range in all types of shoes Today the competition in the shoe market of India and world is increasing with a very fast rate. Many small and big companies are coming into existence. They are giving new technologies everyday in competition of each other. If one company is giving more flexible shoe the other is introducing shoes, which breathe. So in this pace of change the company should improve its research and development department. To give something new to the market this can also be used for the purpose of powerful advertisement also. Today the main competition is in between Bata, Liberty, Woodland, Metro, Nike, Reebok, Adidas and some local companies, which are emerging in different regions. Consumers wants economical and durable footwears. So, that the Bata is main preferences in among consumers. Every research activity ends up with some conclusion. After consulting the experts, reviewing the literature and analysis the data, researcher landed upon some conclusion regarding the behavior of consumers toward foot wears. These are the conclusion, which found from the study:

 The Indian footwear industry market is very big .it is providing every type of shoes to the consumer. The Indian consumers preferences towards footwears companies are very high. The existing market situation for the footwears industries is very good

IMPLICATIONS
Present study is based on consumer behavior .it is a very useful tools in the hands of industries when they are formulating any sales policy in the market they have to launch only that product which get the positive response from the consumer. By the help of this study we are able to know which product is more in demand and why it is what the consumer hope from the footwear companies and for companies it is also helpful to know about the consumer preferences, tastes their culture, their likes dislikes, their values, beliefs and the past experiences. This study gives many help to analyzing such problems.

SUGGESTIONS & RECOMMENDATIONS: Companies should always keep consumer requirements and expectations in

mind while designing or adding features to product. As ultimately they are one for which product are meant to be. Prices have to be kept reasonable in this scene of cut throat competition. During the advertising all valuable factors should be highlighted. Companies should concentrate on improving the customer care as customers The companies should use such type of plans those would help to retain the Company should increase the quality level of its products. All companies must use all media types for advertising the product globally.

satisfaction should be at the priorities of the companies. existing customers & attracting new ones.

Discount offers should be attractive. Free feedback services should be providing to the customers. Replacement warranties should be provided to the customers.

BIBILIOGRAPHY

BIBILIOGRAPHY;-

In this project report, while finalizing quality problem in details the following Books, Magazines & Web Sites have been referred. All the material detailed below provides effective help and a guiding layout while designing this text report.

Reference Book: Book on Business Reserch Methodology by C.R. Kothari. Book on Marketing Management by Philip Kotler. http://www.relaxofootwear.com/ http://www.lakhanifootwear.com/

ANNXETURE

QUESTIONNAIRE

Name : Sex : M/F

Age group: 15-20 Above 30 25-30

1. Specify the reason for purchase of particular brand of liberty footwear, rank according to your choice for lakhani and relaxo? Range Fashion Offers Quality Discount Comfort

2.Sources of motivation for purchasing footwear for lakhani and relaxo? Friends Shopkeepers Personal liking 3.Which media do you like most for advertisement for lakhani and relaxo? Parents Advertisement

T.V. Newspaper

Hoarding Magazines

4.On which channel would you prefer an ad of footwear of lakhani and relaxo? ESPN Star plus Other Zee Sony

5.WHAT IS THE PERCENTAGE OF THE MARGIN SATISFACTION OF THE CONSUMERS IN THE BOTH ORGANISATION? Lakhani64 Relaxo36

6.WHAT IS THE RATIO OF COST EFECTIVENESS IN LAKHANI AND RELAXO?